AI RESEARCH
Prompt Optimization Enables Stable Algorithmic Collusion in LLM Agents
arXiv CS.AI
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ArXi:2604.17774v1 Announce Type: new LLM agents in markets present algorithmic collusion risks. While prior work shows LLM agents reach supracompetitive prices through tacit coordination, existing research focuses on hand-crafted prompts. The emerging paradigm of prompt optimization necessitates new methodologies for understanding autonomous agent behavior. We investigate whether prompt optimization leads to emergent collusive behaviors in market simulations.